The Franchise Disclosure Document is one of the fundamental foundations of your franchise.
Unfortunately – in some cases, the Franchising business model has been tainted by individuals seeking to make some quick money at the expense of others and in doing so have not only bought their own franchise into disrepute, but also Franchising in general.
There are some very good franchising opportunities available, both to Franchisors looking to franchise their business and also Franchisees looking to purchase.
In this case both the Franchisor and Franchisee need to be aware of the potential upside and downside of the franchise. Franchisors need to be very honest with potential buyers and Franchisees need to ask many questions to satisfy themselves that the franchise that they are looking to purchase is viable for them
In a small county like the UK, with the speed and availability of the Internet, reputations can be make and broken very quickly. The Internet allows a medium, especially through social networks, information to spread (whether it be true or false is irrelevant). On the other side however the Internet does allow for good news to travel fast about your franchise.
Establishing your credibility is simple if you follow some fairly easy guidelines. You will build and establish your creditability by creating comprehensive documentation that accurately and transparently reflects your franchise, its systems and its value. You need to make these documents freely available to potential Franchisees. By doing this you will set the standard in credibility and demonstrate that you have nothing to hide and that you operate with integrity.
A cooling off period is a good way to tangibly demonstrate your integrity. If, for example, you allow for a 30 day cooling off period, then, should a Franchisee find that the franchise is not for them (in which case they would be unsuitable anyway) you can part on good terms without any financial loss.
The Disclosure Document, like the one supplied by FrankDocs, is the best form in which to present information to your prospective franchisees. This document is a sales / factual document that presents information about your franchise to people in a clear, concise and factual format.
The Disclosure Document should contain information pertaining to your industry overall and also your franchise specifically. It should contain information on how your franchise operates and the systems you have. Above all it should be a document of credibility. The FrankDocs Disclosure Document contains a great deal of concise information. Some of the information is listed here:
Having a concise document will establish and enhance your credibility and that of your franchise.
FrankDocs is the premium suppler of Franchise Documents, Legal Documents, Franchise Manuals, Franchise Templates and Franchisee Recruitment Documentation in the UK. Feel free to visit us at www.frankdocs.co.uk or by emailing support@frankdocs.co.uk
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